CRO Surges 30% Following Truth Social Partnership Amid Token Controversy
Cronos (CRO), the native token of Crypto.com's Cronos Chain, surged following a partnership with Truth Social, founded by President Donald Trump.
- On March 24, Crypto.com and Trump Media announced plans to launch crypto-backed ETFs and ETPs, including products tied to Bitcoin and CRO.
- The announcement drove CRO's price to a local high of $0.115, with a 30.3% increase over the past 24 hours, trading at $0.107 currently.
- Previously, on March 19, Crypto.com reported $1.5 billion in revenue for 2024.
Concerns Over Token Minting
- In 2021, Crypto.com burned 70 billion CRO tokens, which was 70% of its total supply.
- A recent proposal to mint these 70 billion CRO tokens for a "Cronos Strategic Reserve" received over 62% approval.
- This move has drawn criticism for potentially diluting the value of existing CRO due to excessive voting power held by the exchange.
- Community members suggested using revenue to buy back existing circulating CRO instead of minting new tokens.